Collateral Rates

Use of ETFs as collateral for margin trading.

Saxo Bank allows a percentage of the investment in certain ETFs to be used as collateral for margin trading activities.

The collateral value of a ETF depends on the rating of the individual ETF – please see conversion table below.
 
​ETF Rating1​​2​3​4​5​6​78​
Collateral value of ETF position​n/a75%​75%​50%​50%​0%​0%​0%

 

Example: 75% of the value of a position in a ETF with Rating 3 can be used as collateral (instead of cash) to trade margin products such as Forex, CFDs, Futures and Options.

Please note that Saxo Bank reserves the right to decrease or remove the use of ETF investment as collateral for large position sizes, or stock portfolios considered to be of very high risk.

For a complete list of available ETFs, ratings and collateral values, please click here.

Updated 3 May, 2016

Product Risk

Danish banks are required to categorise investment products offered to retail clients depending on the product’s complexity and risk as: green, yellow or red.

ETFs are categorised as yellow or red products depending on the individual instrument. For more information about the categorisation of the individual instrument and the level of risk involved, please see the Product Risk Categorisation located under our General Business Terms.

General Business Terms